According to our latest market study, titled "Digital Isolators Market Forecast to 2028 -Global Analysis - by Type and Application," the digital isolators market is expected to grow from US$ 2,537.53 million in 2022 to reach US$ 4,133.11 million by 2028; it is anticipated to grow at a CAGR of 8.5% from 2022 to 2028.
The demand for digital isolators is growing tremendously in the automotive industry, wherein they are used in battery management systems, isolated Fieldbus, and inverters and chargers. Isolators allow effortless communications across the isolation barrier. Various companies are providing advanced digital isolators for applications in the automotive industry. For example, in 2020, Texas Instruments Inc launched the first digital isolator with Grade 0 ambient operating temperature specification of the Automotive Electronics Council (AEC)-Q100 standard. The isolator provides low-voltage circuitry in both hybrid electric vehicle (HEV) and electric vehicle (EV) systems. Growing automotive industry would have a positive impact in the growth of digital isolators market.
The digital isolators market size in the Middle East & Africa is segmented into South Africa, Saudi Arabia, the UAE, and the Rest of the MEA. The region has over 2 million vehicles, leading to the growth in the presence of a strong automotive industry. Growing initiatives for introducing advanced electric vehicles are likely to drive the demand for digital isolators in the coming years. In May 2022, Volkswagen introduced its first electric SUV in Qatar. Saudi Arabia aims to have at least 30% of its cars electrically powered by 2030. In May 2022, Lucid, an EV manufacturer, announced a long-term plan of building the first international manufacturing plant in Saudi Arabia, targeting the production of 150,000 vehicles per year to cater to the rising demand.
The growing medical sector in Saudi Arabia is augmenting the demand for digital isolators. The country accounts for ~60% of the healthcare expenditure of the Gulf Cooperation Council (GCC) countries. By 2030, the Saudi Arabian government is planning to invest ~US$ 65 billion in developing the country's healthcare infrastructure. Thus, the expanding automotive sector and rising investments in healthcare infrastructure are likely to fuel the digital isolators market growth in the Middle East & Africa during the forecast period.
Impact of COVID-19 Pandemic on Middle East & Africa Digital Isolators Market
The increasing focus of governments toward industrialization is expected to drive the digital isolators market size in Middle Eastern countries in the coming years. The MEA has a limited number of digital isolator companies; hence, end users of digital isolators across these countries rely on international suppliers. The adverse effects of the COVID-19 pandemic on countries supplying digital isolator products to businesses in the MEA led to a downturn in the industrial sector in this region. Disruptions in supply chains and challenges associated with international import and export led to a further decline in the digital isolators market across the region during the H1 of 2020; however, by Q3 2020, the demand for various semiconductor products, including digital isolators, began to resurge with the gradual recovery of industries in the MEA and other regions. Furthermore, the demand for electric vehicles, industrial automation devices, medical devices, and telecom devices (such as VoIP gateway) started to increase during FY 2021.
Key Findings of Market Study
The MEA region has been witnessing the highest urbanization rate which is boosting the number of facilities across different countries of the region. This is expected to catalyze the number of industrial facilities across the region and will drive the demand for digital isolators. This factor in turn will boost the digital isolators market growth in MEA.
The Rest of MEA held the largest digital isolators market share in 2021. The rest of MEA includes the countries such as Israel, Qatar, Turkey, Egypt, and Kuwait. The demand for industrial automation across these countries is one of the major factors catalyzing the digital isolators market analysis in MEA. Moreover, Israel and Turkey have strong aerospace and semiconductor manufacturing industry that generates a vast demand for semiconductor components, in turn, driving the digital isolators market across these countries. Further, the demand for consumer electronic devices such as lighting systems, inductive cooktops, motor control devices, solar inverters, and power supplies such as UPS have been driving the integration of digital isolators across the MEA.
The UAE is expected to be the fastest growing country in digital isolators market during the forecast period. This is mainly due to the rising investments (including FDIs) across the country's semiconductor sector and government support to expand the semiconductors industry in the UAE. According to the Electric Vehicle Council, ~8,489 electric vehicles (EVs) were sold in the UAE in 2021. A surge in fuel prices has led to an increase in demand for EVs across the country, which is driving the demand for EV chargers and inverters, subsequently boosting the adoption of digital isolators in this industry.
Contact Us
Contact Person: Sameer Joshi
Phone: +1-646-491-9876
Email Id: sales@premiummarketinsights.com